Brand loyalty among low-income consumers?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Murilo Carrazedo Costa Filho ◽  
Roberto P.Q. Falcao ◽  
Paulo Cesar de Mendonça Motta
Keyword(s):  
Low Income ◽  
Brand Loyalty ◽  
Perceived Risk ◽  
Content Type ◽  
Five Factors ◽  
Wide Range ◽  
Holistic Understanding ◽  
Brand Consideration ◽  
Low Income Consumers ◽  
Depth Interviews

Purpose Low-income consumers (LICs) have gained more attention from marketers after Prahalad and Hart (2004) called attention to untapped opportunities among the world’s poorest. Once neglected and seen as price-driven, more recent research has depicted LICs as brand-conscious consumers who are willing to pay a premium for quality. However, because LICs must balance their tight budgets with aspirations for branded items, this perspective may be too optimistic. To address this issue, the purpose of this paper is to investigate brand consideration and loyalty among LICs across a wide range of products. Design/methodology/approach The authors used a qualitative-inductive approach to assess LICs’ brand considerations across ten fast-moving consumer goods. In-depth interviews with 20 Brazilian LICs were conducted. Findings The authors found that brand loyalty among LICs is both context- and category-dependent. Patterns of loyalty are influenced by five factors: perceived differentiation, perceived risk, contextual usage, proportion of the category expenditure to household income and hedonic vs functional consumption. It seems that the interplay of these factors ultimately shapes differently the attitudes and repeated patronage of brands within each category among LICs. Research limitations/implications Generalizability of findings is limited owing to the qualitative method used. Practical implications The authors provide practical insights to managers concerning key attributes that influence brand consideration and loyalty among LICs. Originality/value This paper adds to the yet limited knowledge on LICs and provides a deeper and more holistic understanding of the relation of LICs with brands.

Low‐income consumers' reactions to low‐involvement products

2009 ◽  
Vol 27 (7) ◽  
pp. 882-899 ◽  
Author(s):  
Ayantunji Gbadamosi
Keyword(s):  
Low Income ◽  
Women Consumers ◽  
Content Type ◽  
Marketing Environment ◽  
The Subject ◽  
Low Income Women ◽  
Grocery Products ◽  
Low Income Consumers ◽  
Depth Interviews ◽  
Is Value

PurposeThe purpose of this paper is to explore the attitudes and behaviour of low‐income women consumers in respect of low‐involvement grocery products.Design/methodology/approachOne focus group and 30 in‐depth interviews on the subject‐matter are conducted with low‐income women in Salford (Northwest England). Given the nature of the topic and the target respondents involved, the subjects are recruited through the use of purposive and snowballing sampling methods.FindingsThe findings suggest that low‐income women consumers' purchases of low‐involvement grocery products are based on habit. They do not show strong loyalty to brands of these products, and do not perceive price as an indication of their quality. Their key motivation underlying their purchases of these products is value‐for‐money. Also they are very sensitive to sales promotional stimuli, albeit in varying degrees according to the respective attractiveness of these tools. However, while they indicate a positive attitude towards buy‐one‐get‐one‐free (BOGOF), free samples, discount and coupons, BOGOF stands out as their best preference; but they are not positively inclined towards gifts and competition.Originality/valueThe paper explores the motivation, attitudes and behaviour of a special group of consumers (low‐income women) in respect of low‐involvement grocery products. It indicates the directions of their sensitivity in terms of marketing stimuli. Hence, it will be valuable for marketing decision making towards providing this group of consumers with the utmost satisfaction needed in this increasingly complex marketing environment.

Shopping streets vs malls: preferences of low-income consumers

2019 ◽  
Vol 37 (2) ◽  
pp. 140-153 ◽  
Author(s):  
Marco Tulio Zanini ◽  
Fernando Filardi ◽  
Fábio Villaça ◽  
Carmen Migueles ◽  
Aline Menezes Melo
Keyword(s):  
Low Income ◽  
Policy Decision ◽  
Decision Makers ◽  
Shopping Malls ◽  
Content Type ◽  
Quantitative And Qualitative Research ◽  
Research Findings ◽  
Patronage Intention ◽  
Low Income Consumers ◽  
Depth Interviews

PurposeThe purpose of this paper is to identify the attributes of shopping streets and shopping malls that influence the satisfaction and patronage intention of low-income consumers in order to understand the consumers’ preferences when it comes to shopping in these retail agglomerations.Design/methodology/approachThe study is based on quantitative and qualitative research, including in-depth interviews and focus groups with low-income consumers. The research collected data from 396 consumers at 3 retail agglomerations in Rio de Janeiro, Brazil, and used a structured questionnaire to identify 12 attributes as the factors of the agglomerations’ attractiveness.FindingsThe results show that the items “selection” and “value” affect satisfaction and patronage intention at the same intensity in both shopping streets and shopping malls. However, the item “access” proved to be important for shopping malls, and the item “security” proved to be important for shopping streets. The results indicate that shopping streets have a preference for patronage intentions, despite the greater satisfaction generated by shopping malls. In addition, the study looked at consumers’ opinions on these retail agglomerations.Originality/valueThe research findings help to build a conceptual framework on evolved retail agglomerations in comparison to created retail agglomeration, represented by shopping streets and shopping malls, respectively. The findings allow a broader view of low-income consumption, offering insights so entrepreneurs and companies can direct their efforts to better capture value and improve the supply of products and services. Likewise, these findings will help public policy decision-makers to build and provide infrastructure for the preservation of shopping streets, maintaining this option for the consumer.

Characterization of the shopping preferences and needs of low-income consumers living in food deserts

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Samantha Mogil ◽  
Evanah Hill ◽  
Jennifer Quinlan
Keyword(s):  
Low Income ◽  
Food Access ◽  
Fresh Produce ◽  
Food Deserts ◽  
Geographic Area ◽  
Content Type ◽  
Perishable Goods ◽  
Wide Range ◽  
Shopping Experience ◽  
Low Income Consumers

PurposeLack of access to supermarkets and fresh produce continues to be a problem for low income consumers in many countries. The purpose of this research was to identify the shopping preferences and needs of such consumers in the Eastern U.S. Additionally, the research sought to determine the interest and preferences of low income consumers in a mobile grocery intervention which would provide neighborhoods with a consistent, convenient shopping experience.Design/methodology/approachA mixed methods approach included conducting focus groups in low-income neighborhoods in Philadelphia, Pennsylvania, U.S.A. and a quantitative survey (n = 202) administered via Survey Monkey to low-income consumers. Thematic analysis was conducted on focus group data and surveys were administered and analyzed to assess applicability of themes identified to consumers over a larger geographic area.FindingsResults indicated that consumers in food desert neighborhoods reported an interest in purchasing a wide range of food staples, household goods, and personal items from any shopping intervention. Participants indicated a need for a more convenient overall shopping experience for a range of foods and goods in addition to fresh food choices. Findings indicate that mobile interventions to increase food access may benefit from expanding products available through the intervention beyond fresh produce and perishable goods.Originality/valueThis research explored purchasing preferences with low income consumers living in food deserts. It identifies products and goods they would prefer to see in an intervention to increase food access and is unique in that it explores the wants and preferences of consumers living in food deserts.

Regulatory focus and construal level theory on low-income consumer indebtedness: Evidence from an emerging market

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Patrícia de Oliveira Campos ◽  
Marconi Freitas da Costa
Keyword(s):  
Decision Making ◽  
Low Income ◽  
Regulatory Focus ◽  
Task Complexity ◽  
Emerging Market ◽  
Psychological Distance ◽  
Construal Level Theory ◽  
Construal Level ◽  
Content Type ◽  
Low Income Consumers

PurposeThis study aims to further analyse the decision-making process of low-income consumer from an emerging market by verifying the influence of regulatory focus and construal level theory on indebtedness.Design/methodology/approachAn experimental study was carried out with a design 2 (regulatory focus: promotion vs prevention) × 2 (psychological distance: high vs low) between subjects, with 140 low-income consumers.FindingsOur study points out that the propensity towards indebtedness of low-income consumer is higher in a distal psychological distance. We found that promotion and prevention groups have the same propensity to indebtedness. Moreover, we highlight that low-income consumers are prone to propensity to indebtedness due to taking decisions focused on the present with an abstract mindset.Social implicationsFinancial awareness advertisements should focus on providing more concrete strategies in order to reduce decision-making complexity and provide ways to reduce competing situations that could deplete self-regulation resources. Also, public policy should organize educational programs to increase the low-income consumer's ability to deal with personal finances and reduce this task complexity. Finally, educational financial programs should also incorporate psychology professionals to teach mindfulness techniques applied to financial planning.Originality/valueThis study is the first to consider regulatory focus and construal level to explain low-income indebtedness. This paper provides a deeper analysis of the low-income consumers' decision process. Also, it supports and guides future academic and decision-making efforts.

Assessing algorithms for selecting countries to market new products to low-income consumers

2013 ◽  
Vol 3 (4) ◽  
pp. 1-12
Author(s):  
Michael D Metzger ◽  
Arch G. Woodside ◽  
John C. Ickis
Keyword(s):  
Emerging Markets ◽  
New Product Development ◽  
Low Income ◽  
Food Packaging ◽  
New Products ◽  
Subject Area ◽  
Bottom Of The Pyramid ◽  
Content Type ◽  
Decision Tools ◽  
Low Income Consumers

Title – Assessing algorithms for selecting countries to market new products to low-income consumers. Subject area – A consulting team to an international food packaging company (SDYesBox) is attempting to decide which algorithm is the most useful for selecting two national markets in Central America and the Caribbean. SDYesBox wants to work closely with its immediate customers – manufacturers in the dairy and food industry and their customers (retailers) – to develop and market innovative products to low-income consumers in emerging markets; the “next big opportunity for the dairy industry” according to SDYesBox. Study level/applicability – New product development and market selection in emerging markets in Latin America. Case overview – Five algorithms are “on the table” for assessing 14 countries by 12 performance indicators: weighted-benchmarking each country by the country leader ' s indicator scores; tallying by ignoring indicator weights and selecting the countries having the greatest number of positive standardized scores; applying a conjunctive and lexicographic combination algorithm; and using a “fluency metric” of how quickly consumers can say each country aloud. At least one member of the consulting team is championing one of these five algorithms. Which algorithm do you recommend? Why? Expected learning outcomes – Learners gain skills, insights, and experience in alternative decision tools for evaluating and selecting choices among emerging markets to enter with new products for low-income (bottom of the pyramid) products ands services. Supplementary materials – Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes.

Building blocks of financial inclusion through customer experience value at financial touchpoints in Southern Africa

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nkosinathi Sithole ◽  
Gillian Sullivan Mort ◽  
Clare D'Souza
Keyword(s):  
Southern Africa ◽  
Low Income ◽  
Financial Services ◽  
Building Blocks ◽  
Customer Experience ◽  
The Body ◽  
Financial Inclusion ◽  
Structured Interviews ◽  
Content Type ◽  
Low Income Consumers

PurposeThis paper aims to examine customer experience value orchestrated by non-banks' financial touchpoints to understand how they enhance the financial inclusion of low-income consumers.Design/methodology/approachTwo independent but related studies were conducted using qualitative comparative analyses (QCA) research design with semi-structured interviews to compare and contrast customer experience value at two rural locations in Southern Africa. The interview transcripts were analysed using ATLAS.ti, which is a powerful operating system for analysing qualitative data.FindingsThe results indicate that non-banks in the two countries design financial services that include functional, economic, humanic, social and mechanic customer experience value dimensions.Research limitations/implicationsThe data for this study was collected from financial services customers of retailers and mobile phone network operators in only one research setting in each country. Further research could extend the comparative context for qualitative studies across similar markets. Other limitations are discussed in the paper.Originality/valueThis paper contributes to the body of knowledge by highlighting the salient and germane dimensions and components found to be important in understanding financial inclusion using customer experience value. To the best of the authors’ knowledge, this is the first study that incorporates customer experience value dimensions in understanding the financial inclusion of low-income consumers at the base of the social and economic pyramid in emerging markets.

Foresight for online shopping behavior: a study of attribution for “what next syndrome”

foresight ◽  
2019 ◽  
Vol 21 (2) ◽  
pp. 285-317 ◽  
Author(s):  
Gunjan Sharma ◽  
Naval Bajpai ◽  
Kushagra Kulshreshtha ◽  
Vikas Tripathi ◽  
Prince Dubey
Keyword(s):  
Social Desirability ◽  
Brand Loyalty ◽  
Perceived Risk ◽  
Online Shopping ◽  
Shopping Behavior ◽  
Content Type ◽  
Product Service ◽  
Service Offering ◽  
Online Shopping Behavior ◽  
Different Levels

PurposeThe online shopping behavior is the outcome of the variety of attribution from product/ service offering to internet experience. The present study attempts to develop a complete product/service offering by exploring and examining the different combinations of online shopping attributes to provide the customized experience. Therefore, this study aims to fill the gap of customer desired experience and present scenario in online shopping behavior.Design/methodology/approachThe exploration of attributes pertaining to online shopping behavior was done by seeking theoretical support from different technology adoption theories/models and the Delphi technique, exercised with active participants of online and offline shopping. The theoretical and experience shared attributes were devised and social desirability scale (SDS) was used for eliminating the social desirability bias. Further, the questionnaire was administered online and offline during mall intercept. The Conjoint analysis was used to investigate the relative importance and utilities of the attributes and its levels individually and compositely at different levels.FindingsIn the context, brand loyalty, online reputation management and Web interactivity were found most relavant followed by e-WOM, perceived risk and price. The specific levels of attributes such as taking consumer advice, search engine optimization (SEO), perception-based interactivity, consumer message boards, product risk and discount pricing were the crucial in motivating the customers for online shopping. This research affords the avenue for the marketers to motivate and delight consumers to retribalize by the way of “e-tribalizing.”Research limitations/implicationsThe current study was conducted in confined geographical locations and limited in sample size; thus, the issue of generalization may prevail, but forthcoming researchers may exercise the techniques with better probabilistic sampling technique. The mass customization of the website features by comparing attribute orientation of customers around websites was recommended with the third-party certification to reduce the consumers’ perceived risk during online shopping. Finally, the different levels, such as Facebook fan page in ORM and Everyday Low Price (EDLP) in pricing may be considered for the future research work.Originality/valueThe research studies on online shopping behavior with Web interactivity, e-WOM, perceived risk, brand loyalty, ORM and price using a decompositional technique are scant. This study persuades the customers to go for online shopping by putting them in the almost real-time purchasing scenario. The study confirmed the need of people to retribalize through e-tribalization by the way of customization for the masses in the context of online shopping.

Interactions between human behaviour and the built environment in terms of facility management

Facilities ◽  
2018 ◽  
Vol 36 (1/2) ◽  
pp. 2-12 ◽  
Author(s):  
Darja Kobal Grum
Keyword(s):  
Built Environment ◽  
Low Income ◽  
Well Being ◽  
Human Behaviour ◽  
Natural Environments ◽  
Psychological Well Being ◽  
Content Type ◽  
Sustainable Solutions ◽  
Wide Range ◽  
The Impact

Purpose In comparison with the relations between the human and natural environments that have been the central focus of environmental psychology for many years, the interactions between the psychological processes underlying human behaviour and the built environment have only recently regained the interest of researchers. In this paper, the author first discusses the reasons for the slower development of human – built environment relations. Afterwards, the author systematically examines the impact that the research of environmental stress, namely, poor housing and poor neighbourhood quality, had on the contemporary understanding of human – built environment relations. Design/methodology/approach The author focuses on social, biophilic and evidence-based design. The author proposes deeper psychological engagement in correlation with human behaviour, psychological well-being and society. The author highlights the inclusion of psychologists in interdisciplinary research teams addressing the development of sustainable solutions to the issues of residential environments. Findings It has been shown that substandard house quality, high noise, lack of natural light in houses, poorer physical quality of urban neighbourhoods, living in a low-income neighbourhood, etc. are linked to elevated physiological and psychological stress. Despite this evidence, there is still a gap between building designers and building users in modern industrialised societies, which could deepen tenants’ dissatisfaction due to specific behavioural needs and consequently lower their psychological well-being and health risk behaviour. Research limitations/implications These are potential risks of error arising from the use of assumptions, limited samples size and data from the secondary resources. Originality/value The major contributions of this paper are as follows. If the environment is understood as a dynamic, constantly changing and complex system of a wide range of players, the author can discern in this environment a dynamic that is otherwise characteristic of emotional dynamics. Expressed participants’ high satisfaction with residential status does not necessarily generate high expectations regarding real estate factors.

Considerations and principles for conducting a participatory capacity and vulnerability analysis (PCVA) for disaster risk reduction and climate change adaptation

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Iftekhar Ahmed
Keyword(s):  
Climate Change ◽  
Risk Reduction ◽  
Climate Change Adaptation ◽  
Low Income ◽  
Disaster Risk Reduction ◽  
Disaster Risk ◽  
Vulnerability Analysis ◽  
Participatory Development ◽  
Content Type ◽  
Wide Range

Purpose While there are many such toolkits on community-based participatory methods, the key considerations and principles of conducting a participatory capacity and vulnerability analysis (PCVA) are less covered, yet they are central to the effective conduct of a PCVA, the reason why this paper focuses on such issues. Design/methodology/approach This paper is derived from a toolkit that was produced for Oxfam Australia. Disasters and climate change are major drivers of poverty and significantly affect the communities that development programs of Oxfam Australia aim to assist. Recognising the importance of building its organisational capacity to address these risks, Oxfam Australia initiated and commissioned the production of a PCVA toolkit to support disaster risk reduction and climate change adaptation programs; the production of the toolkit was led by the author. The methodology of producing the toolkit consisted of discussions with experts and a review of similar toolkits. Findings Details of the PCVA process and how to conduct one in a community setting are provided including PCVA concepts, briefing, logistics and management and principles of working with communities. Importantly, the different stages of conducting a PCVA are explained, and some selected tools are presented as illustrative examples. In conclusion, the importance of the PCVA considerations and principles are reaffirmed vis-à-vis the sensitivity and soft skills required in a low-income developing country setting. Originality/value The participatory development approach, which the toolkit follows, has been widely advocated for the past few decades and most non-governmental organisations involved in community development espouse this approach. Consequently, a wide range of participatory development toolkits have been developed, many of which relate to disasters and climate change. The PCVA toolkit discussed in this paper draws on the repertoire of toolkits already available and used over a long time. Nonetheless, effort was given to assembling a range of tools that were most suitable for the purpose of this particular PCVA toolkit. Instead of focussing on the tools, which are available from the freely downloadable toolkit and available in the public domain, in this paper, the PCVA process and its main principles are explained, and the key considerations to carry out an effective PCVA is discussed. Perhaps even more than the actual tools, these considerations and an understanding of the PCVA principles are significant because they underpin the utilisation of the toolkit.

Multi-brand loyalty: when one brand is not enough

2014 ◽  
Vol 17 (4) ◽  
pp. 464-480 ◽  
Author(s):  
Reto Felix
Keyword(s):  
Thematic Analysis ◽  
Brand Loyalty ◽  
Design Methodology ◽  
Point Of View ◽  
Research Approach ◽  
Content Type ◽  
Family Tradition ◽  
Managerial Implications ◽  
Depth Interviews ◽  
Over Time

Purpose – The purpose of this research is to provide a deeper, constructivist account of multi-brand loyalty. Previous literature has acknowledged the existence of multi-brand loyalty, but described it from a narrow, rational and primarily utilitarian point of view. Design/methodology/approach – The study is based on open-ended, depth interviews. Data were labeled, coded and classified into different topics, and thematic analysis was used to identify three dominant themes. Findings – Multi-brand loyalty emerged in three forms: biased, specialized and perfect substitutes. These relationships may undergo dynamic transformations over time. Further, family tradition and perceived freedom were identified as two important motivations for consumers to be loyal to more than one brand. The managerial implications address suggestions on how companies can avoid that consumers become loyal to several brands instead of maintaining single-brand loyalty. Originality/value – The study is the first to address multi-brand loyalty based on a qualitative research approach and provides preliminary insights into occurrences and motivations related to the construct.

Sign in / Sign up

Export Citation Format

Share Document